Bank of India acquires over 6% stake in recently incorporated CCIL IFSC

Mergers and acquisitions (Photo: Wikimedia Commons)


State-owned Bank of India on Monday said it has acquired a 6.125 per cent stake in the recently incorporated CCIL IFSC, listed in GIFT SEZ, reflecting its commitment to the growth of IFSC.


The announcement was made by Bank of India’s Executive Director (International Operations) Subrat Kumar in GIFT City while speaking at an event to mark the first anniversary of the bank’s IFSC Banking Unit in GIFT City.


“The acquisition of 6.125 per cent stake in CCIL IFSC for Rs 6.125 crore showcases our strategic commitment towards the growth of GIFT City IFSC and its emergence as a global financial services provider,” Kumar said.


Promoted by Clearing Corporation of India Limited (CCIL), CCIL IFSC is the proposed entity to build and operate a real-time foreign currency settlement system at GIFT City, the country’s only operational international financial services centre.


The entity will act as a clearing house and system operator at GIFT City. The foreign currency settlement system is expected to help develop the GIFT City ecosystem further by enabling and promoting a greater number of use cases within the IFSC.


While inaugurating the IFSC Banking Unit at GIFT City last year, the bank had set an ambitious target of touching a business of $ 1 billion in the first year of operation with equal distributions of advances.


The IBU surpassed the target of $ 1 billion as of March 2024 and is well poised to further contribute to the IBU’s growth in the coming years.


For this fiscal, the IBU has set a target of achieving 50 per cent business growth over the previous year.


Through the IBU at GIFT SEZ, the bank offers a range of global banking solutions such as External Commercial Borrowing (ECBs), Trade Finance Facilities, Foreign Currency Loans, Syndication Loans (Origination, Underwriting & Distribution), Foreign Currency deposit account -Current & Term Deposits to Corporates and Retail customers NRIs & foreign nationals.


The bank offers the advantage of being situated in Indian geography with competitive pricing and quick processing from a highly experienced team.


The bank aims to shortly offer digital banking facilities through transaction-based internet banking facilities to various clients allowed as per IFSCA guidelines.

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First Published: Jun 11 2024 | 12:03 AM IST